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The Department of State to the British Embassy
Aide-Mémoire
Careful consideration has been given to the British Ambassador’s aide-mémoire of November 9, in regard to certain provisions of Section 2 of the Neutrality Act of 1939 concerning the transfer of title to articles and materials on their exportation to certain belligerent areas.
The effect of the provisions cited in the Ambassador’s aide-mémoire is to permit American and other neutral vessels to carry goods (other than arms, ammunition, and implements of war) to ports of belligerent states lying within the areas specified in Sub-Section (G) without the title to the goods having previously been transferred to some foreign agency; and to require that title to the goods be transferred to a foreign agency before they could be exported on vessels of belligerent states.
Informal representations regarding this question were made while this legislation was pending in the Congress by an officer of the British Embassy, who was orally informed in the sense indicated in the Ambassador’s aide-mémoire.
It is apparent that in enacting Section 2 of the Neutrality Act of 1939 in its existing form the Congress felt that these particular provisions with which the Ambassador deals in his aide-mémoire were necessary from the standpoint of preventing the involvement of the United States in controversies with belligerent governments. American vessels receive no preferential treatment over the vessels of other neutral countries, and the provisions applying to vessels of belligerent countries appertain to vessels of all belligerents. In these circumstances, the American Government cannot agree that the provisions cited are discriminatory.
It may be noted that the delay and inconvenience in British ships which have already occurred, mentioned in the Ambassador’s aide-mémoire, are in a large measure incidental to the early stages of the administration of a new law and may be expected to be reduced materially at an early date. Delay and inconvenience to shipping, however regrettable, are perhaps inevitable in such circumstances. For its part, the American Government is prepared to do everything within its power to eliminate any possible delay to shipping as a consequence of wartime conditions.